# RG58 - 1941 1c Silver Tax, gray, overprint '1941'
Silver Tax Stamps
Founding Father and first Secretary of the Treasury Alexander Hamilton was a supporter of a “bimetallism” money system, in which both gold and silver were used as currency. The two metals would be fixed in relative value. But by the late 1830s, it was clear that bimetallism was a failure, since the market rate of silver was higher than the monetary value of silver.
The “Silver Bloc” wanted to bring bimetallism back. They succeeded in getting favorable legislation passed, such as the Sherman Silver Purchase Act of 1890, which required the government to buy 4.5 million ounces of silver a month (as much as the total U.S. production in a full year). President Grover Cleveland repealed the act in 1893.
During this time, Roosevelt also purchased large amounts of silver from other countries, increasing the price of silver worldwide. Although most countries were on the gold standard by this time, China still used the silver standard for its currency. The dramatic rise in the price of silver forced the Chinese to abandon the silver standard.
The first Silver Tax issues were documentary stamps overprinted with “SILVER TAX.” The denominations ranged from 1¢ to $1,000. Differences in the overprints, such as spacing between the words or ink colors, caused varieties in some denominations.
In 1941, specific Silver Tax stamps picturing secretaries of the Treasury were produced. That year they were overprinted with “SERIES 1941.” The following year, the date was changed on the overprint.
The overprint was no longer used after 1943. The Silver Tax stamps were discontinued in 1963.
Silver Tax Stamps
Founding Father and first Secretary of the Treasury Alexander Hamilton was a supporter of a “bimetallism” money system, in which both gold and silver were used as currency. The two metals would be fixed in relative value. But by the late 1830s, it was clear that bimetallism was a failure, since the market rate of silver was higher than the monetary value of silver.
The “Silver Bloc” wanted to bring bimetallism back. They succeeded in getting favorable legislation passed, such as the Sherman Silver Purchase Act of 1890, which required the government to buy 4.5 million ounces of silver a month (as much as the total U.S. production in a full year). President Grover Cleveland repealed the act in 1893.
During this time, Roosevelt also purchased large amounts of silver from other countries, increasing the price of silver worldwide. Although most countries were on the gold standard by this time, China still used the silver standard for its currency. The dramatic rise in the price of silver forced the Chinese to abandon the silver standard.
The first Silver Tax issues were documentary stamps overprinted with “SILVER TAX.” The denominations ranged from 1¢ to $1,000. Differences in the overprints, such as spacing between the words or ink colors, caused varieties in some denominations.
In 1941, specific Silver Tax stamps picturing secretaries of the Treasury were produced. That year they were overprinted with “SERIES 1941.” The following year, the date was changed on the overprint.
The overprint was no longer used after 1943. The Silver Tax stamps were discontinued in 1963.